Cal Dive misses $2.2 million interest payment on 5% convertibles

New York, Jan. 16 – Cal Dive International, Inc. said that it will not make the $2.2 million interest payment due Jan. 15 on its 5% convertible senior notes due 2017.

The company added that it has a 30-day grace period before the non-payment becomes a default.

During the grace period, the company will continue discussions with its debt providers, according to a news release.

Cal Dive said that it “believes it is in the best interests of its debt and equity holders to continue to focus on actively addressing the company’s debt and capital structure.”

The company also said that it does not intend to buy any convertibles that are tendered as a result of its delisting from the New York Stock Exchange.

On Dec. 28 Cal Dive provided a “fundamental change” notice to holders after its stock was delisted.

It has until Feb. 2 to purchase any notes tendered through Jan. 30.

Failure to buy tendered notes will be a separate event of default.

Cal Dive said in the press release that it is continuing to pursue financing transactions, non-core asset sales and other strategic efforts that could provide additional liquidity and allow it to repay, restructure or refinance its debt.

If agreement is not reached, the company may file for bankruptcy.

Cal Dive is a Houston-based marine contractor providing services to the offshore oil and natural gas industry.

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